Last year saw jaw-dropping mergers and acquisitions within the pharmaceutical world. According to Pharmfile, the largest deals of 2016 that changed the face of the pharmaceutical industry were:
1. Bayer – Monsanto: $66 billion
The deal between the German drug and chemical maker and the US seeds company sealed the largest all-cash deal on record early in the year. The deal closed at whopping $66 billion but is yet to be approved – in fact, there are serious whisperings from within the industry that it may not complete at all. If it were not to complete, Bayer would be forced to pay a $2 billion break-up fee to Monsanto, not a prospect that Bayer would like to entertain at this point.
2. Teva – Actavis Generics: $40 billion
Teva’s acquisition of Actavis Generics, a part of the Allergan business, closed last year. The deal made Teva the largest generics company in the world. The deal completed at $40 billion and whether this deal will be one regarded as value for the money in the future is seriously under question.
3. Sanofi – Boehringer: $13.5 billion
Sanofi and Boehringer Ingelheim confirmed the successful completion of the exchange of Sanofi’s animal health business and Boehringer Ingelheim’s consumer healthcare business. The swap deal saw Sanofi exchange assets worth $13.5 billion. The deal makes good sense for both companies, strengthening their areas of concern.
4. Shire – Baxalta: $32 billion
The deal saw Shire acquire the rare disease portfolio of Baxalta, and acquire a pipeline of 50 programs in clinical development. The merger allowed the biotech to become a specialist in orphan disease treatment
5. Pfizer – Allergan: $160 billion
It was one of the most talked about and anticipated mergers of the time, and yet all came to nothing. Both companies have made major moves after the deal failed to come off. Allergan, particularly, has been on an acquisition spree – acquiring five companies between August and October alone. Meanwhile Pfizer managed to snatched Medivation away from Sanofi in a $14 billion deal.